The order of the letters along the rows of computer keyboards could be changed to allow users to type faster, but this would inconvenience the vast majority of people who learned to type with the current keyboard layout. The costs of switching to a new
layout make this change unlikely. This is an example of
A) path dependency.
B) how social influences overwhelm the substitution effect of a price change.
C) how the elasticity of demand for typewriters has been affected by externalities.
D) how consumers sometimes do not behave rationally.
Answer: A
You might also like to view...
In considering the relationships between price and quantity demanded, ceteris paribus directs the economist to assume that
A) price increases affect quantity. B) quantity increases affect prices. C) either price nor quantity affect demand. D) all other variables remain unchanged.
If a person who generates a negative externality incorporates into his or her private cost-benefit calculations the effects that this externality will have on third parties, the externality has been
A. substituted. B. accommodated. C. compounded. D. internalized.
A monopolist's demand curve is
a. its marginal cost curve b. its marginal revenue curve c. identical to the market demand curve d. the same as the demand curve of a firm in perfect competition e. nonexistent
"Measures are too often decided, not according to the rules of justice and the rights of the minor party, but by the superior force of an interested and overbearing majority" was written by
a. Jefferson b. Washington c. Hamilton d. Adams e. Madison